Local Radio Co swings to FY operating profit; committed to acquisitions (Local Radio CO(The)

Date : 12/05/2007 @ 2:35AM
Source : TFN
Stock : Local Radio CO(The) (TLR)
Quote : 7.5  -0.75 (-9.09%) @ 5:25AM
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Local Radio Co swings to FY operating profit; committed to acquisitions (Local Radio CO(The)

        LONDON (Thomson Financial) - The Local Radio Company PLC narrowed pretax
losses and swung to its first full year of operating profit as its cost
reduction programme and strategic improvements bear fruit.
    The local radio station owner said pretax profit in the 12 months to Sept 30
narrowed to 9 mln stg from 21 mln last year while the company swung to an
operating profit of 153,000 stg from a loss of 1,800,000 mln in the year-ago
period.
    Group turnover fell slightly in the full year to 19 mln stg from 20 mln last
time, but gross profit margins improved to 75 pct from 70 pct resulting in the
operating profit turnaround.
    The company has benefited from a cost reduction programme which has brought
overheads down by 5 pct, and although the outlook is uncertain, the company said
it is "confident and determined that the improvement in our performance will
continue."
    Recognising the opportunities within the local radio sector, TLRC also
committed itself to an acquisition strategy to grow revenues.

kathy.sandler@thomson.com
ks

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